What can I do if my car was repossessed by the lender after bankruptcy? 19 Answers as of September 21, 2011
I just filed for Bankruptcy in August. I am scheduled to meet with trustees this month. Last week my car was repossessed by the lender! The car was listed on my Bankruptcy file. What legal actions can I take for this? In turn, I was forced to buy a new car and even was sent to jail due to false allegations! It is a very messy situation now.Free Case Evaluation by a Local Lawyer!
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Mercado & Hartung, PLLC | Christopher J. Mercado
If you didn't exempt the car, it can be liquidated to pay your creditors.
Answer Applies to: Washington
Replied: 9/21/2011
Raxter Law | Jeremiah Raxter
You should consult your bankruptcy attorney. Your car is a "secured" debt and thus is treated differently than unsecured debt in your bankruptcy.
Answer Applies to: California
Replied: 9/19/2011
Heupel Law | Kevin Heupel
You may be able to sue the creditor for violating the automatic stay.
Answer Applies to: Colorado
Replied: 9/19/2011
D T Pham Associates, PLLC | Duncan T Pham
If your lender was properly notified of your bankruptcy filing then the repossession is unlawful and the bankruptcy trustee may make demand for its return.
Answer Applies to: Texas
Replied: 9/16/2011
Paul Stuber, Attorney at Law | Paul Stuber
It sounds like there is much more to this. There is an automatic stay of execution when you file the bankruptcy and they can not repossess the car if they know about the bankruptcy and have not lifted the stay this soon after you file.
Answer Applies to: Colorado
Replied: 9/16/2011
Dan Wilson Bankruptcy | Dan Wilson
Call your Bankruptcy lawyer right away. The repossession was a violation of the automatic stay
Answer Applies to: Colorado
Replied: 9/16/2011
Law Offices of Sheryl S. Graf | Sheryl S. Graf
Once the Bankruptcy Petition is filed, the automatic stay prohibits collection activities, including repossessions. If the lender did not obtain a court order for relief from stay (after notice to you of a hearing and an opportunity to be heard), then it sounds like they have violated the automatic stay. Bankruptcy courts have the power to order a creditor who willfully violates the stay to pay attorneys fees, costs, and punitive damages under 11 U.S.C. 362(h). If you told the lender and the repo man about your bankruptcy filing and they took the car anyway, their conduct would probably be considered willful. Penalties for violating the automatic stay can be severe. The information presented here is general in nature and should not be construed to be formal legal advice, nor the formation of a lawyer/client relationship. You should immediately contact an attorney for specific advice and to protect your rights.
Answer Applies to: California
Replied: 9/16/2011
Guardian Law Group PLLC | C. David Hester
Sounds as though you have causes of action for violation of bankruptcy laws, specifically the automatic stayand possible violations of the fair debt collections practices act. You need to seek an attorney asap to preserve your rights.
Answer Applies to: Utah
Replied: 9/16/2011
Grace Law Offices of John F Geraghty Jr. | John F. Geraghty, Jr.
when you meet with the Trustees they should be able to work that out for you.
Answer Applies to: Georgia
Replied: 9/16/2011
Indianapolis Bankruptcy Law Office of Eric C. Lewis | Eric Lewis
Repossession of anything after the bankruptcy is a violation of the automatic stay. Tell them to redeliver the car back or you will ask the court for sanctions.
Answer Applies to: Indiana
Replied: 9/16/2011
The Law Office of Mark J. Markus | Mark Markus
You should have your attorney send a demand letter to the vehicle lender demanding return of the vehicle. You can also file a motion for sanctions for violation of the automatic stay (I'm assuming they did not obtain permission from the bankruptcy court first to repossess).
Answer Applies to: California
Replied: 9/16/2011
Ashman Law Office | Glen Edward Ashman
First of all, it sounds like you made the extremely catastrophic mistake of filing without a lawyer. That is almost always a disaster. Hire a lawyer now. Whether you can fix things now depends on how badly you messed up and how long you waited. In most chapter 7's, unless you reaffirm a debt, the lender gets the car. There are procedures to do that which may or may not have been followed. If they were not followed, you can seek damages. If they were, you cannot. But get a lawyer before your problems and mistakes multiply more.
Answer Applies to: Georgia
Replied: 9/16/2011
Law Office of J. Scott Logan, LLC | John Scott Logan
If the creditor has not filed for and been granted relief from the automatic stay, you have an excellent claim for violations of the automatic stay, IF IT WAS LISTED ON YOUR SCHEDULES. Was the creditor listed, in addition to the car?
Answer Applies to: Maine
Replied: 9/16/2011
Charles Schneider, P.C. | Charles J. Schneider
What would you like to do? There are insufficient facts with your questions. You have not stated a goal. How can you be forced to buy a new car or what were the false allegations? Who swore out an arrest warrant. You need an attorney on the case.
Answer Applies to: Michigan
Replied: 9/16/2011
Grasso Law Group | Charles Grasso, Esq.
Once bankruptcy has been filed and the in particular if the creditor is aware of the bankruptcy, then it would be unlawful for the creditor to repossess the car - it would be a violation of the automatic stay. F
Answer Applies to: California
Replied: 9/16/2011
Judith A. Runyon, Esq. Attorney at Law | Judith A. Runyon
The lender on your car , if they were listed, have violated the bankruptcy stay, unless they already filed a Motion to have the stay lifted so they could take the car. You need to talk to a bankruptcy attorney.
Answer Applies to: California
Replied: 9/16/2011
Uriarte & Wood, Attorneys at Law | Robert G. Uriarte
It appears there is something else at work here, because you would not be sent to jail for non-payment of a car loan. With respect to the repossession, unless the creditor obtained relief from stay first, the creditor is in violation of the automatic stay and may be liable for actual damages. you need to speak with a lawyer and tell him EVERYTHING regarding your situation so you can be advised how best to proceed. Good Luck!
Answer Applies to: California
Replied: 9/16/2011
Diefer Law Group, P.C. | Abel Fernandez
If the car was repossessed after you filed, you can ask that the creditor return the car since they violated the bankruptcy stay. You should contact the creditor directly and try to get them to return the vehicle.
Answer Applies to: California
Replied: 9/16/2011
Harkess and Salter, LLC | Stephen Harkess
When you have a messy situation that includes criminal charges as well as other issues, the most important thing you can do is to talk to your attorney. In the situation you describe, you may have recourse to get your car back and to file a complaint for violation of the automatic stay. However, you cannot possibly provide enough information in a one paragraph posting to get accurate advice regarding a complicated issue. You need to speak to your attorney immediately. If you are proceeding without an attorney, you have just learned why that is not advisable and you should correct that mistake immediately.
Answer Applies to: Colorado
Replied: 9/16/2011
